Which of the Following Statements Is False

question 43

Multiple Choice

Which of the following statements is false?

• A)Japan is less dependent on foreign trade than is the United States.
• B)Imports and exports account for over one-half of the GDP of the Netherlands.
• C)China is the leading exporting country,accounting for 12.1 percent of total world exports.
• D)Because the cost of labor used on farms is so high,the United States exports very little of its wheat,rice,and corn crops.

---

Definitions:

Business Risk

The exposure a company or investor faces due to uncertainties in the market or industry, impacting the company's ability to generate profits.

Financial Risk

The possibility of losing money on an investment or business venture, including risks related to currency, interest rates, and solvency.

Debt/Equity Ratio

A ratio exemplifying the balance of equity to debt in the financing structure for a company’s assets.

Interest Tax Shield

A deduction allowed for the interest paid on debt, thereby reducing taxable income and the total tax owed.